Softinsa implements IFRS 17 in Fidelidade Group
“With the confidence we place in Softinsa’s ability and adapt the current financial systems without increasing the time of financial processes, we will reach the goal and the challenges that arise will certainly be overcome.”
Maria Conceição Mota, BI and Financial Applications Manager of Fidelidade
Softinsa was the technological partner elected by Fidelidade for the implementation of international Financial Reporting Standard 17 (IFRS 17) in the various companies and subsidiaries of the Insurance Group in Portugal and in all the countries where it operates.
The new financial standard, which will enter into force in January 2023, establishes the principles of accounting measurement of insurance contracts, being of central importance for the insurance activity.
In view of this legal requirement, Fidelidade opted for an integrated solution, SAP S/4HANA for Financial Products Subledger (FPSL) which, in addition to integrating IFRS 17 reports for insurance and reinsurance contracts, in accordance with the guidelines established by the International Accounting Standards Boards (IASB), it provides an auxiliary accounting and reporting of IFRS 9 and has the ability to include other financial accounting standards and principles, such as local GAAP, among other gains in terms of operating system data Flows and financial releases.
From the point of view of IFRS 17, SAP FPSL is designed to embed data in an automated way from source systems and then process it on a continuous basis, ending with detailed releases in the auxiliary book and ultimately financial postings to general accounting.
“One of the strong weights, in addition to the implementation capacity, was the fact that Softinsa/IBM already knows Fidelidade. They have implemented with us large projects and also ensure, way Application Management Services, the maintenance and evolution of financial systems. Starting a program of this size and to accelerate implementation was and is for us fundamental minimize risk. With the confidence we place in Softinsa’s ability to implement the new software and adapt the current financial systems without increasing the time of financial processes, we will reach the goal and the challenges that arise will certainly be overcome” highlights Maria Conceição Mota, BI and Financial Applications Manager of Fidelidade.
“The entry into force of IFRS 17 is undoubtedly a very ambitious challenge for the entire insurance market Portuguese. We are pleased to contribute to our know-how and dedication of our teams so that the Loyalty Group achieves a successful transition to the new standard and with significant improvements in the optimization of its processes”, stresses Sérgio Pereira, General Manager of Softinsa.
Get to know our Application Development and Maintenance Services Get in touch with our team of consultants here.